MAG Insights

Announcements from the MAG & Featured Articles

MAG Press Release: US Mobile Payment Adoption Slower Than It Needs to Be- Card Network Rules and Technology Limitations Remain Biggest Barriers to Adoption

June 2, 2016

One of the highest priorities for the Merchant Advisory Group and our members is to ensure a competitive landscape for mobile commerce in the United States. Currently, technology barriers and card network acceptance rules are inhibiting competition and efficiency in the space. Today, MAG issued the following items regarding mobile competition:

  1. Mobile Competition Press Release
  2. Policy backgrounder
  3. Key principles for competition in mobile
  4. Consumers and Financial Services 2016 FRB Survey Key Findings

The MAG believes the following items are critical to ensuring competition and innovation in the mobile commerce space:

  1. Full stakeholder access to technology to identify wallets vs. cards at contactless POS terminals, identify which wallet is being presented, and identify which financial products are available inside those wallets.
  2. Global card networks should rethink any policies that attempt to tie Honor All Cards rules to mobile commerce.
  3. A NFC contactless technology acceptance mandate does not make sense for U.S. businesses and consumers, and is anti-free market. Card brands should not mandate NFC in the U.S. as they have done in Europe.

The MAG also recently commissioned Georgetown Law Professor Adam Levitin to do an assessment of the mobile commerce marketplace. Professor Levitin released his paper, “Pandora’s Digital Box: Digital Wallets and the Honor All Devices Rule,” this week. Read more about the paper at Also, view some key findings from the paper here